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MARCH 2003


US Senate Postpones Internet Tax Ban Vote A vote on extending the "Internet Tax Ban" has been delayed until January 2004 when the Senate returns from vacation. The ban would make permanent the ban on taxing internet access (Cable/DSL/Dialup) services. As a result of intense lobbying by both sides, a compromise bill MAY extend the ban for 2 more years. The main stumbling block is the definition of what is "internet access". A group of State governors is lobbying to exclude "phone services" from the definition. This would allow State and Federal taxing authorities to tax it like land-line phone and cellular services. These taxes add 20-50% to your total bill! We recommend US voters continue to compel their Federal representatives to recommend that phone services be INCLUDED in the permanent tax exemption.
Contact your elected representatives now at: http://www.congress.org
Recent News Article from Newspaper Source



New Country Code for Calls Terminating on the Internet The regulatory body that sets international telephone country code assignments, The International Telecommunications Union (ITU), has now provided a country code for the internet to enable people to make calls from a regular phone line and terminate those calls to an internet phone gateway. The new country code is +87810. If it is accepted by the "mainstream" long distance carriers, it will enable people using regular telephones to dial people who use the Internet for voice communications. Initially, the assigment of new internet phone numbers (numbers tied to a fixed or relative IP address) will be handled by Free World Dialup. It is free to join and get an internet number (currently 5-digits). The ability to access the new country code is left up to each long distance carrier. Currently only one country allows termination to the new 87810 country code, Austria. It is expected that more countries will adopt the new country code as the Free World Dialup membership grows (currently 20,000 members).
For more information:
World Telephone Number Guide -General Explanation
Press Release- Feb 2003 Cnet News  and   VISIONng
Listing of PC phone providers compatible with Free World Dialup Click Here
VoIP User Discussion Postings Current Developments


AmeriVoice - Lowest Unlimited Long Distance $29.99/month AmeriVoice offers a unique unlimited long distance service plan at a rock-bottom price of $29.99 per month. The service requires the purchase of an automatic call routing devise (approx. $19.99). Call routing is automatic, no access numbers are required to be dialed. Long distance calls dialed are routed directly through AmVoice without having to dial any access or PIN numbers. Local calls are routed to your local phone carrier. The service supports fax machines. At this time the service is limited to residential useage. Service covers the continental 48 states, excludes Alaska and Hawaii.
Service Review go to TechTV
Company Website AmVoice.com

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DECEMBER 2002
Largest Long Distance Carriers Increase Rates We continue to see the major long distance carriers increase fees and rates as their customer base drops. We hope more consumers will find less expensive alternatives listed on our site. In Jan 2003, No. 1 AT&T, with 50 million residential customers, raises the monthly fee on a 7-cent-a-minute plan to $4.95 from $3.95 for new enrollees. In Dec 2002, MCI upped the fee on one popular plan to $12.95 from $10.95; another to $5.95 from $3.95. In Jan 2003, MCI charges customers $2.50 to get long-distance charges on local phone bills. The service was free several years ago. AT&T raises some per-minute rates in Jan 2003, perhaps from 9 cents to 10 cents, In Nov 2002, Sprint raised per-minute rates for customers not on a plan by 18%. Sprint's international rates for callers not on a plan recently went up about 10%. In Jan 2003, MCI's 5-cent Sundays plan will charge a $5 minimum instead of $3. Verizon and Qwest added a $3 minimum to a plan in October.
Our list of the Lowest Long Distance Rates in the Nation Click Here
Tell-A-Friend About 2.9 cents per minute long distance
Send this page to a friend Click Here

Free Conference Call Bridge Many conference call services charge a 10 to 20 cent per minute per participant fee that can be cut to a fraction using a new free conference call bridge service and discount long distance services. FreeConference.com now offers a unique service that is completely free. You can arrange a conference call in a matter of minutes or plan ahead days in advance. The service automatically emails all the participants along with instructions as to how to gain access to the call. By linking it with a discount long distance service like Onesuite.com, a toll-free conference call can be hosted for 2.9 cents per minute per participant.
For More Information http://www.FreeConference.com


Flat Rate Unlimited Long Distance $29.99 Per Month A long distance retailer that prided itself for not selling flat rate unlimited long distance, Cognigen, has just partnered with one of the largest flat rate unlimited long distance providers- ZeroCents. The company delivers unlimited domestic calling to residential customers in the continental United States (48 contiguous states) for a cost of $29.99 per month. This covers both in-state and state-to-state calls. ZeroCents operates a national, private, packet-switched fiber-optic communications network that transports converged services. ZeroCents provides an on-line personal account manager that allows customers to view calls in real-time, check payments and update account information.
For More Information: http://www.ZeroCents.com

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OCTOBER 2002

Add a Phone Line Using Only Your DSL Connection
Now you don't need a computer to make PC-to-Phone calls. Currently Deltathree and Buddyphone offer an interface that enables you to access their service over your existing DSL connection. You can do this by adding a Cisco ATA 186 unit (approx. $150) to a common DSL router. A regular phone plugs into the Cisco unit. By configuring the Cisco unit with your PC-to-Phone account information, you will be able to make and receive phone calls using just your DSL connection. You must have a PC-to-Phone service account with a provider that accomodates the Cisco unit. The quality of calls using the Cisco unit is on average better than PC-to-Phone calls. We have listed the leading carriers that can link with the Cisco unit below.
For more information:
http://www.nikotel.com - Inbound & Outbound Calls
http://www.iconnecthere.com - Inbound & Outbound Calls
http://www.vonage.com - Inbound & Outbound Calls
http://www.cisco.com - Info on Cisco ATA 186
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JUNE 2002

Net2phone Ends Free 2 Minute Calls 7/1/2002 Net2phone has been offering free trial minutes for customers to test the quality of their PC-to-Phone service. Net2phone offered free calls of up to 2 mintues in length to anywhere in the continental US. Effective July 1, 2002, you will not be able to make calls using their service unless you set up a prepaid account and pay their per minute rates. Rates for calls in the continental US are 2 cents per minute.
For more information http://www.net2phone.com

Phone Calls via Internet on Increase Phone calls over the internet have grown in recent years as a direct result of no government regulation and the increase in broadband use. Currently 8% of all global phone traffic is carried over the internet. In April, 2002, India dropped its ban on internet telephone businesses, internet calls in the US avoid all federal and state taxes; businesses are using broadband internet connections with inexpensive Cisco routers to carry inter-office phone traffic with existing telephone equipment at no cost. As more individuals and businesses acquire faster (broadband) internet connections, they are finding that they can avoid all long distance charges at little or no cost. Many companies accept the limitations on call quality in exchange for reductions in corporate overhead. With the added push for businesses to cut costs, the growth of the telephony industry will continue.
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Launch of Disposable Cellphones in Doubt Many companies were promising delivery of disposable cellphones in stores by the end of 2001 and not one of them has delivered one phone to date. The reasons cited by many industry analysts sheds doubt that consumers will ever see these phones in stores anytime soon. The problem with delivering these phones includes the need for FCC approval (which has only been issued to 1 company to date - Cyclone Phone); major telecom players like Nokia and Motorola have shied away from the market so far, apparently because they don't regard it as a viable or lucrative business; no disposable vendor has yet reached an agreement with any of the major wireless networks to place calls (AT&T, Cingular, Sprint); in September, 2001, the FBI was concerned that the use of disposable phones could be used by terrorists to make calls in the US anonymously. For the time being the only thing being delivered is broken promises and more media hype. Here are the main players in the disposable market:
http://www.cyclonephone.com
http://www.hop-on.com
http://www.dtcproducts.com Back to Top

APRIL 2002

State Taxes on Cellular Phones - 10 Highest States Cellular Telecommunications & Internet Association (CTIA) examined taxes consumers pay as part of wireless phone service and idenified 10 states where taxes are the highest. The CTIA claims California has the highest wireless tax rate of 19.6% with Florida following at 17.8% . Virginia, New York, Nebraska and Texas, as well as Illinois, Tennessee Mississippi and Pennsylvania, rounded out the list, respectively. CTIA added that wireless bills could increase even more if the federal government passes an ordinance to double the amount a wireless subscriber pays to subsidize rural telephone companies.
For more information: http://www.wow-com.com/ Back to Top

WorldCom Offers "The Neighborhood" Unlimited Phone Service WorldCom, the second largest long-distance carrier, announced it is going to provide local telephone service in at least 32 states. WorldCom intends to eventually extend its local phone service into all 48 contiguous states by early 2003. Operating under the MCI Group, the local services will be marketed as "The Neighborhood" and will unify local and long-distance services under one bill with unlimited domestic calling, regardless of minutes used or time of day. The Neighborhood will be priced between $49 and $59 depending on the customer's state. In February, long-distance carrier AT&T Corp. launched a new long distance calling plan that allows residential customers to call other AT&T subscribers and talk as long as they want for a flat monthly fee of $19.95. Unlike the WorldCom offer, the AT&T Unlimited plan levies 7 cents per minute for calls to non-AT&T subscribers and does not include local telephone service.
For more information: http://www.mci.com/ Back to Top


MARCH 2002

AT&T Prepaid Wireless to Launch $10 Phone Card On April 2, 2002, AT&T will launch a $10 prepaid cellular phone-time card in stores. It will have the same expiration period as existing prepaid cellular phone cards- 45 days. The launch will lower the effective cost of an AT&T prepaid phone plan to $6.67 per month. For consumers who need a cellphone just for emergencies and occasional calls, it is much more cost effective than the lowest price traditional cellular phone plan. The $10 prepaid cellular phone card will not be available in stores until April 2, 2002, however, you can buy it now if you recharge your time over the phone using a credit or debit card. Minutes are used up at a 50 cent per minute rate for the local-calling plan (85 cents/min national-plan).
For more information: http://www.wirelessflatrate.com Back to Top


Broadband Internet Useage Exceeds Dial-up Access Nielsen//NetRatings, a joint venture of NetRatings Inc. and Nielsen Media Research, reported that Internet users with high-speed connections collectively spent more time online in January than those with slow-speed hook-ups. It was the first time that monthly broadband usage surpassed dial-up modems, based on the number of hours spent online. The study showed broadband users collectively spent 1.19 billion hours online in January, or 51% of total time spent online. Dial-up users spent 1.14 billion hours online, or 49% of total time. Broadband usage has surged in the past year, with hours spent online rising 64% from January 2001, Meanwhile, dial-up usage fell 3% from a year earlier. The rise of broadband users and the proliferation of Internet applications targeted at broadband users were reasons cited for why broadband advanced past dial-up useage.
For more information: http://www.nielsen-netratings.com Back to Top


FEBRUARY 2002

Yahoo Adds Voice-Activated Dialing Yahoo! by Phone users can now navigate through personalized services such as e-mail, voicemail and the latest news and information by using any telephone and their voice. The new service is part of a deal between Yahoo and Nuance Communications Inc., a provider of speech-recognition software. With the new service, customers can dial a number from any phone in the United States to access their Yahoo account and speak the name or number of a person listed in their Yahoo address book. Net2Phone's telecom network then completes the call to anywhere in the country. AOL and Microsoft offer similar phone-based options through AOL Anywhere and MSN Messenger, respectively. The new voice-activated service is included in the base Yahoo! by Phone service fee of $4.95 per month, but phone-to-phone calls cost 10 cents a minute within the United States, while PC-to-phone calls cost two cents a minute over Net2phone's telephone gateway.
For more information:
Yahoo! by Phone
CNET News.com
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Peer-to-Peer Long Distance Possibilites Software applications are spreading that use peer-to-peer technology made popular by Napster. These applications expand the file sharing concept to local telephone lines over the internet. With a peer-to-peer PC-to-Phone long distance system, members of the peer-to-peer group have both an internet connection and a connection to a local phone line running simultaneously. Any member of the peer group can initiate a local phone call using another peer member's phone line that is not being used by another peer member. This makes for some interesting possibilities. For example, assume you have 2 people on opposite sides of the world say Tokyo and New York both have the same peer-to-peer software running on their PC's, the person in Japan can initiate a local phone call in New York from his computer in Japan and vice versa. If a peer-to-peer PC-to-Phone network grew as large as Napster was,(millions of members) it would virtually eliminate the domestic & international long distance business. Two leading groups beta testing this new application are very far from any sizable coverage. They include Jeff Pulver's Free World Dialup and David Jones' PhoneBazooka.com Two big stumbling blocks to expansion include the need to keep a free phone line available for peer members use and the need to initiate calls using a PC (usually requiring a broadband connection). A more achievable application is in a business application (such as Groove.com) - a business located in many cities could create a large network of peer computers for nationwide company voice and data communication.
For more information:
Free World Dialup -    PC-to-Phone Peer-to-Peer
PhoneBazooka.com - PC-to-Phone Peer-to-Peer
Groove.net -             PC-to-PC Peer-to-Peer
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AT&T to Announce Unlimited Calling to Other AT&T Customers AT&T plans to offer its long-distance customers a new monthly calling plan for $19.95 that will give them unlimited calls to other AT&T customers and a rate of seven cents a minute for other calls. Similar to the old "MCI-friends & family" plan, AT&T's goal is to keep what's left of it's market share in advance of the baby bell's reentry into the long distance market this year. AT&T hopes the plan will have more longevity than the old MCI plan.
For More Information: Reuters News
AT&T Announces Increase in Rates Recent Story


JANUARY 2002

Tell-a-Friend Campaign to Lower Phone Rates 1888usa.com has launched a "tell a friend" email service to counter the rate increases announced by the major carriers to start in February 2002. Discount long distance providers charging less than 5 cents per minute have little or no marketing budget. We are providing a form letter that visitors to our site can use to send friends and family a list of providers charging less than 5 cents per minute. We will be adding other campaigns including free faxes and PC-to-Phone services over the next month
Tell-A-Friend- Long Distance Under 5 Cents/Minute
Tell-A-Friend- Send Free Faxes Over the Internet
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Supreme Court Decision Benifits Broadband Internet Expansion In a win for the broadband cable companies, the US Supreme Court upheld the FCC's authority to set (relatively low) fees that cable companies pay power companies for attaching wires used for high-speed Internet connections to utility poles. The case involved price caps imposed by the FCC since the 1970's on prices that utilities charged the then-fledgling cable industry. Originally, the wires were used solely to carry cable TV signals. Today, however, the same wires are used for high-speed internet and data traffic. Currently, rates are between $5 and $7 a pole per year. The utility companies were expecting to get as much as $50 a pole per year. With millions of poles involved, this would have cost cable companies billions. The ruling is expected to help expand the lucrative broadband market, benefiting cable giants AT&T/Comcast and AOL Time Warner.
For more info see article at Yahoo News
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AT&T, WorldCom and Sprint Raise Rates with Demand Falling Telecom industry analyst, JP Morgan, announced that AT&T, WorldCom and Sprint are expected to raise long-distance rates by an average of 5 to 10 percent for consumer long-distance calls. Price hikes are a direct result of the recent corporate restructurings. According to annual statistics of the major carriers published by the Federal Communications Commission (FCC), the average long distance toll in the U.S. was approximately $.14/minute in 1999. This average includes international calls, which, at $0.56/minute are comparatively expensive. A domestic State-to-State call, which is more common, averaged $0.11/minute for the major carriers. In contrast, the prepaid phone cards listed by 1888usa.com continue to charge under 4 cents per minute (In-State and State-to-State calls), international rates are also well under 10 cents per minute for most of Europe and Eastern Asia. As more consumers become educated about alternate discount prepaid calling plans sold over the internet, we believe average long distance rates will continue to drop as consumers opt-out of traditional long distance calling plans sold by the major carriers. For more information:
ABC News - Hidden Fees Benefiting Phone Companies
http://1888usa.com - Prepaid Calling Card Comparison Chart
http://www.fcc.gov/ccb/stats - FCC - Official Statistics Page
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DECEMBER 2001

AT&T/Comcast Merger - Local Phone Service over Broadband AT&T Broadband, the biggest cable company in the United States, has decided to merge with Comcast. The $72 billion deal will create a cable giant, with more than 21 million subscribers and access to more than 30 million households. That reach will help the new company take on the local telephone companies in offering both local telephone service and high-speed Internet services over the same cable lines. AT&T has spent considerable time building up its ability to offer telephone service over the cable network; the original reason AT&T built it's expanding cable network was in order to compete with the local phone companies' dominant networks. With a reach of 30 million households, AT&T Comcast can bring its own local phone service to a level that can compete with the powerful local phone companies. It is believed that the remaining pieces of AT&T, the business and consumer long distance service, will be spun off as their own tracking stock or they may be bought by one of the Baby Bells.
For more information see YahooNews
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Spam Email Expected to Explode in 2002 Marketing analysts project that email volume will likely grow 45 percent next year, up from recent annual growth rates of 40 percent. A lot of it will be spam. POP based e-mail programs - Microsoft's Outlook and Netscape's Messenger include custom filtering features. Smarter and heavier duty e-mail management tools are also available from a handful of technology start-ups. Mailshell.com offers a basic free service with the ability to set up an unlimited number of virtual email accounts to block your true email address. For example, John Doe might use "amazon(at)jdoe.mailshell.com" when shopping at Amazon.com and "yahoo(at)jdoe.mailshell.com" when registering at Yahoo.com. E-mail sent to those addresses would then go to Mailshell, which would automatically forward them to Doe's real e-mail box. If Doe is sick of mail coming from a particular source, he could delete the alias from the Mailshell site without losing e-mail from other sources. If you don't want to go to the trouble of creating a new alias every time you sign up for an online service, several software products promise to block junk mail from reaching your main address. The top-sellers in this niche include Spam Killer and Spam Buster. Most of the anti-spam software programs aren't 100 percent effective, though, because spam senders are constantly figuring out ways around the roadblocks. Back to Top
Dialpad Pulls Plug on Free PC-to-Phone Calls Dialpad, as one of the largest and most popular providers of free PC-to-Phone calls, has pulled the plug on free PC-to-Phone calls. Recently, Dialpad limited free calls to 5 minutes each. Then in November, 2001, the parent company of Dialpad, Serome Technology Inc, announced it would no longer provide funding to the internet provider of free PC-to-Phone calls and that Dialpad may file for bankruptcy protection. In place of the free service, Dialpad offers unlimited PC-to-Phone calling to anywhere in the continental US for $9.99 per month. Dialpad has a subscriber base of over 12,000,000 members.

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New Software Records Instant Messenger Sessions Ascentive, Inc. has released a new version of its BeAware computer monitoring software which includes a ChatWatch feature that allows parents to better monitor children's (and spouse's!) internet instant messenger activity (AOL,MSN,Yahoo, etc.). Many tools currently available provide content filtering and block access to objectionable sites, but instant messenger sessions have fallen outside of the scope of monitoring programs. Also, unlike email or web surfing, instant messenger sessions leave no visible log on a hard drive. The ChatWatch feature essentially records instant messenger sessions similar to a VCR that can be played back at a later time. It also provides a search feature to enable keyword searches of instant messenger sessions.
For more information http://www.Ascentive.com
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AmericanGreetings.com to Charge for e-Greeting Cards Announcing that "the bill collectors finally caught up with us," AmericanGreetings, BlueMountain.com and Egreetings.com have replaced their popular free email greeting card services with a monthly pay service. To access and send most of the network's cards, consumers must pay $11.95 a year. The company blames a drop in advertising dollars for the need to charge for the service. You can still compose and send free greeting cards on the internet with other popular services including:
Free e-Greeting Cards: Yahoo Greetings, Flowgo.com and Hallmark.com
- Happy Holidays!


NOVEMBER 2001

FBI to Impose Carnivore-Like System on VoIP Providers Wall Street Journal reported in its online edition that The FBI sees the current variety of telecom services as limiting its ability to tap into criminal suspects' communications, and it wants phone companies to make changes in their networks to improve surveillance. In a confidential report the FBI said "many new packet-based services and architectures have been developed which impede or even preclude law enforcement's full and proper execution" of its investigative powers. When communications are transmitted via packets, a message is broken into numerous pieces, each encoded so it can be transmitted separately -- sometimes over different routes -- and then reassembled at its destination. The process makes it difficult to monitor communications. Complicating matters, there are many different ways to send voice signals via packet (VoIP) technology. Carnivore allows the government to tap directly into the data stream for e-mails to sift out the information it wants. In November, the FBI summoned about 100 industry representatives (including Verizon, Cisco & Motorola) to a closed-door meeting in Tucson, Ariz., to explain its technical requirements. One participant said "There was a hint in the presentation that if somebody deployed a new technology and the FBI couldn't intercept it, the FBI would expect the service provider to stop providing the service" until tapping methods were available. Industry experts project the cost to comply with the FBI requirements will exceed $1 billion dollars. Back to Top
Dialpad May File for Chapter 11 Bankruptcy Serome Technology Inc. announced that its U.S. affiliate, Dialpad Communications, is considering filing for chapter 11 bankruptcy protection, according to Dow Jones. A final decision on the issue hasn’t been made yet, Serome said. Dialpad, a Silicon Valley, Calif.-based web phone company, offers free web-based phone services. At the end of September, Serome owned a 38.7 percent stake in Dialpad.
For more info see Yahoo News (Reuters)
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OCTOBER 2001

Microsoft XP Instant Messanger PC-to-Phone Software Enhanced Microsoft recently provided an update to its new Windows XP instant messaging (IM) system. The update enables voice calls between PCs and telephones and has a host of other capabilities. A separate update to MSN Messenger will enable PC-to-phone support for users of earlier versions of Windows. Microsoft announced the new feature will allow Windows Messenger users to make voice calls via PC "virtually anywhere in the world" through participating IP telephony service providers including Callserve, Deltathree, Dialpad, Net2Phone and Telus. Net2Phone and Dialpad currently offer unlimited free 5 minute PC-to-Phone calls anywhere in the continental US.
For more info:http://messenger.msn.com


CNN Expands Use of Video over Satellite IP for Afghan War Due to the hostile terrain of Afghanistan and limited access to satellite uplink facilities, CNN has pioneered the use of video-streaming over a satellite phone connection for live reports from the front lines. The compression technology used is similar to internet video conferencing applications. The quality of the picture is not the same as a regular satellite uplink transmission since the data transmission speed of a satellite phone is only 125kbps, a fraction of the speed of a regular satellite uplink transmission (15 megabits per second). The gear required to transmit the signal for broadcast includes a portable digital camera connected to a video compression box (costs about $7,950) transmitted over a satellite phone connection. The satellite call terminates at the newsroom and is converted back into a regular audio and video signal. All of the equipment necessary fits in a small backpack.
For more info see Yahoo News


Hop-on.com to Launch Disposable Cellular Phone Nov. 2001 Targeted for release by early November, 2001, the Hop-On disposable cell phone provides an alternative to prepaid cellular phones. The $30 wallet-size phone comes with 60 minutes of out-bound only domestic calling time, with no contracts, long- distance charges, or roaming fees. An In-bound calling option will be introduced in 2002. It features a basic two-button operation, voice-activated dialing and a hands-free earpiece/microphone attachment. The phone is made of environmentally friendly biodegradable plastic and can be recycled similar to a disposable camera. Hop-On has distribution agreements with some of the nation's largest retailers and convenience stores, such as Chevron's Mini-Mart. The company will initially provide users with national coverage provided by the some of the nation's preeminent carriers, including Williams Communications, among others.
For more information visit   http://www.hop-onwireless.com
Cellular phone plans under $10 per month  http://www.wirelessflatrate.com.


Internet Video Conferencing on the Increase Companies offering video conferencing services have seen a dramatic increase since September 11, 2001. Companies specializing in internet teleconferencing have reported increases of about 40 percent in demand for their services since the terrorist attacks in New York and Wash.,D.C. Free & low-cost services are offered on the internet for simple video and voice communication such as WebCamNow, Visitalk, and FocusFocus. Higher priced applications include file sharing of company reports and recorded video presentations such as Astound, WebEx and Placeware . Limitations of video system technology (a function of the speed of the internet connection) include jittery images, time lags, and synchronization problems between audio and video signals. In general, the faster the speed of the internet connection, the less problems encountered.

SEPTEMBER 2001

Dialpad Limits Free PC-to-Phone Calls to 5 Minutes Effective September 5, 2001, Dialpad no longer offers unlimited free PC-to-Phone calling. Free "trial" calls are now limited to five minutes each. Calls can be made to any phone in the United States. There is no limit on the number of free 5 minute calls you can make. Through November 28, 2001, Dialpad is offering unlimited free PC-to-Phone calling for $9.99 per month.
Dialpad Homepage http://www.dialpad.com


AUGUST 2001

Z-line - Local Phone Service Alternative Z-Tel now provides bundled local and long distance telephone services, combined with enhanced, Internet-based communications features for one flat price. Z-line is offered in 34 States covering 380,000 active customers as of the end of the first quarter of 2001. Monthly flat fees under $50 per month including Unlimited local calling, Voicemail, Caller ID, Call Waiting, "Find Me" Call Forwarding, 3-Way Calling and unlimited calling to other Z-line subscribers anywhere in the US (200 monthly long distance minutes to non z-line subscribers.
For more information:http://www.ztel.com


Ephone Launches Flat Rate Unlimited Long Distance ePhone Telecom has launched a pre-paid calling card program, which enables participants to place unlimited domestic calls within 48 contiguous U.S. states for the $54.95 per month. Initially, the company is marketing the program only to pre-qualified customers. It is not possible to sign up directly with the company.
Full Article:Business Wire
Company Web Link:http://www.ephonetelecom.com
July, 2001

Dialpad to Launch Mac-to-Phone Service Dialpad introduced its new Mac-to-Phone World product at the Macworld Expo in New York this month. Dialpad World enables Dialpad customers to make long distance calls from their computers to standard telephones around the world. The first Mac version of Dialpad will be available for Mac OS X only.
For more info http://www.dialpad.com


Prepaid Internet Calling Cards for Vacation Travelers Phoneshark.com now offers a prepaid calling card that can be used as a temporary internet access solution while traveling on the road. You must have a computer and a modem to use it. The calling card can be used to access the internet for less than 2 cents per minute from approximately 95% of the US. Internet access time is billed similar to a prepaid calling card. 600 minutes cost only $10 - Annonymous internet useage.
For more info: Phoneshark.com


June, 2001

Hop-on.com to Launch Disposable Cellphone Hop-On Wireless, a division of Hop-on.com Inc., unveiled a disposable cellular phone at the National Association of Chain Drug Stores Convention in Las Vegas. The phone is the size of a credit card, includes an earplug for hands-free operation and will sell for $30 at drugstores across the United States. The phone, soon to be made of biodegradable plastic, comes with 60 minutes of out-bound only, domestic phone time. However, in the near future other features will be added, including incoming and international calling capabilities, prepaid plans and limited Internet access,
For more information: http://www.hop-onwireless.com/


Sprint Positioned to Launch 3G Wireless in US First Sprint PCS will benefit from delays in re-allocating wireless spectrum licenses formerly held by NextWave which filed for bankruptcy. The longer that other carriers (i.e.: Verizon, Cingular and AT&T Wireless) have to wait for their NextWave licenses, the further ahead Sprint PCS may be in moving ahead toward offering third-generation (3G) services. Sprint PCS will be able to migrate to 3G at a much more quicker pace and at fraction of the cost than most European carriers. Sprint recently announced a deal with Lucent to begin upgrading its existing wireless network to provide 3G services. "3G" stands for "third generation" broadband voice and data services (1st gen - analog wireless, 2nd gen - digital) 3G will offer increased voice capacity with crystal clear voice quality and data transfer speeds up to 64 kbps today (increasing to 2 Mbps in the future). As 3G speeds increase, it will offer better multimedia services including downloadable images, music, video, and gaming capabilities. In addition, 3G will offer integrated messaging services and robust multimedia services including videophone communication at the same time you are downloading files. 3G connections will be "always on" similar to a cable broadband connection. Carriers will bill for useage based upon data transferred not on monthly minutes.
Information on Sprint Launch: IT World
Overview of 3G Wireless: 3G Newsroom
DoCoMo 3G Launch in Japan: Yahoo News


Fiber Network Capacity Problems Resulting in Reduced ISP Competition Merrill Lynch estimates that only 3% of fiber capacity is currently being used. Many Wall Street analysts fear that too much supply and low demand could make it difficult for new telecom carriers to recoup the billions they've spent to build global fiber networks (Qwest, Level 3, Global Crossing, 360networks) Some companies have filed for bankruptcy, and most carriers have reduced their spending, which has resulted in poor sales for equipment makers such as Cisco, Nortel Networks and Lucent Technologies. The main problem for the carriers is that no one has introduced an Internet service or application that has dramatically increased the need for bandwidth. The closest thing the industry has had is the music-swapping service Napster, which is now dying. Cable broadband company Excite@Home has found that the average time customers spend online decreased by 32 percent last year. And DSL companies have found that the number of people coming online has leveled off abruptly. As the consolidation of the weaker ISP providers continues, competition will decline and keep internet access prices at the same levels or higher over the short term.
For more information: Yahoo News


Netzero and Juno to Merge NetZero Inc and Juno Online Services Inc announced that will merge to create what they claim will be the US’s second largest ISP under a single company, United Online Inc, with a combined quarterly revenue of $41.5m. The merged company will be 61.5% owned by NetZero stock holders, and 38.5% owned by Juno stock holders. The companies claimed the new company will be the US’s second largest ISP after America Online, with seven million active accounts, of which one million are billable accounts. Both brands will be retained, with billable ISP services marketed under the Juno brand, and free services under the NetZero brand.

May, 2001

Dialpad Introduces Broadband VoIP Service Dialpad Communications has announced that it has officially launched Dialpad Access. The new service is a VoIP phone platform that can be integrated into a hardware device to enable users to connect a traditional telephone to a broadband connection to place calls over the Internet. It ships with support for several value- added features including voicemail, caller ID, call return, call forward, outbound calling, and it also includes a self-provision application that enables use to set-up a dedicated ten-digit phone number for inbound calls.
More information on Dialpad Access:  http://www.dialpad.com


VoIP to account for 75% of world voice services by 2007 Wholesale and retail VoIP traffic worldwide exceeded 6 billion and 15 billion minutes in 2000, according to a new analysis released this month from Calif.-based market-research firm Frost & Sullivan. The study projected that VoIP will account for about 75 percent of world voice services by 2007. The report highlights the entrance of some large traditional carriers, such as AT&T and Worldcom into the VoIP space. This points to the industry changing its value proposition of VoIP. With the resources and large customer bases of the big telecommunications service providers, traffic-volume growth can be expected along with improvements in the quality of the service.

Net2Phone's New Incoming Phone Call Service Net2Phone will soon give its customers who make Net-based phone calls two features never offered before: their own phone numbers and the ability to take incoming calls. The service is expected to launch by the end of May. Customers will be able to choose a 1-800 phone number or a phone number from any area code they like, regardless of where they live. People will also be able to take incoming calls. Previously, The phone number assigned doesn't have to be tied to a geography. For example, you can order a California area code if you have relatives in California. They can call you at the cost of a local call regardless where you live in the world. By the end of 2001, Net2Phone plans to offer voice recognition enhancements that will allow people to call others simply by stating the person's name. This will also allow people to check their voice mail, stock quotes, and other Web information over the phone.
More Details Here


Cisco Systems VoIP Box Bundled With Voicenet Service Voicenet has deployed the Cisco ATA 186 for its Digital Telephone Service customers. By using the Cisco VoIP device, Voicenet customers simply plug into any dedicated, high-speed Internet connection and immediately have two or more IP telephone lines that can be used for voice or fax calls without the need or expense of having the phone company install new circuits. Also, the Voicenet lines are digital, which means they can be sold for both business and residential use. Voicenet also offers customers the ability to select as many phone numbers as they want from cities throughout the US that ring their Digital Telephone Line. And, with Voicenet's web based Automated Telephone Manager, customers can change these virtual telephone numbers and manage feature-rich services such as voicemail, call forward and caller ID, at their leisure.
For More Information


New Bill in Congress Would Regulate All Voice Services Over the Internet The bill called ”The Internet Freedom & Broadband Deployment Act of 2001 “ (H.R. 1542) was approved on April 30, 2001 by the House Telecommunications Subcommittee and would subject all voice applications that use the internet to FCC regulation. In an effort to promote broadband applications for voice traffic, the bill effectively gives the regional Bell companies a monopoly over all voice traffic on the internet. The bill would also eliminate all limitations on the regional Bells entry into the long distance data service business and eliminate the regional Bells requirement to resell broadband related services. A rally to oppose the bill has been planned for June 24, 2001 in Washington DC.
Pulver.com Commentary:  http://pulver.com/hr1542
For detail text of the bill (.PDF file):  HR1542
To write your Congressman: http://www.house.gov/writerep/


March, 2001

Best Long Distance Phone Rate Now 2.9˘ a Minute If you are paying more than 4˘ a minute in long distance, you are paying too much. Currently three national calling card providers are offering long distance below 4˘ a minute with national coverage. The lowest rate is offered by OneSuite.com at 2.9˘ a minute. The other two leading providers, both offering 3.9˘ a minute include Bigzoo.com and Tel3.com. We expect more long distance providers to follow suit due to excess capacity of available voice bandwidth. All offer the same rate for In-state and State-to-State calls, no per-call surcharges, and no minimum billing per call. All three use one-minute rounding for calls. Bigzoo.com and Tel3.com charge monthly fees under $2, Onesuite.com has no monthly fee. Tel3.com is currently offering 50 minutes of free long distance to test the service. You must provide them with a valid credit card number to receive the free minutes though they never charge the card.
Compare calling cards:Click Here


Cellphones Now Offered That are 100% Free for Emergencies Two companies offer cellphones that can be used just for emergency calls to 911 or a cellphone operator. Under US law, all 911 calls from any cellphone are free regardless of your carrier or calling plan. EmergencyCellphones.com will take most any cellphone you currently own and reprogram it for $16 to generate free calls to 911. Another company, 911phone.net, will sell you a refurbished cellphone for under $60 that will make the same types of calls. The benefit is you don't need a prepaid phone card or any other cellular calling plan to generate a 911 call for free! You can also pay for other calls using one of four methods 1) a collect call, 2) a major credit card, 3) certain prepaid cellphone cards or 4) a direct billed calling card. Calls made (other than 911 calls) are not cheap, you normally pay about $1.50 per minute for a credit card call. For some, this is a good deal if the cellphone is only used for emergencies or infrequently. For more information:
http://www.EmergencyCellphones.com
http://www.911phone.net


Disposable Wireless Phones by End of 2001! Two companies have developed similar disposable wireless formats that could replace Trac Phones at your local convenience store. Telespree and DTC Products have developed inexpensive prepaid cellular platforms will be sold in 60, 90 and 120 minute packages. The first generation of disposable cellphones are not expected to allow incoming calls only outbound calls. Outbound call capability should be added sometime in 2002 assuming consumers like the first wave of disposable phones to hit the stores by year end.

January, 2001

New Televisions to Bundle Free Internet Service In April, 2001, Best Buy plans to sell the first TV to have free Internet access built-in. Zenith Electronics was touting its 27-inch television with a 56K modem inside at the Consumer Electronics Show. The $600 television targets first-time users or Web addicts who want to surf from the comfort of their couches. The purchase price includes free lifetime Internet access from start-up portal company Transcast. Transcast can provide the free Internet access because it gets a commission on all transactions and will receive revenue from advertising on its portal. To help encourage e-commerce, Transcast is working on a digital wallet that will enable secure shopping on any of the partner websites. Panasonic has also signed up to produce a TV which will be out in the third quarter 2001 that might include an ethernet adapter for broadband connections.

December, 2000

Two Large Free Internet Service Providers Terminate Service Both 1stUp and Spinway have terminated services. 1stup will terminate its free internet service effective 12/10/00. The assets of Spinway were recently acquired by bluelight.com . A host of other free internet service providers used 1stUp and Spinway as the backbone of their free service. This leaves only a handful of free internet service providers still standing.

November, 2000

Net2Phone to Enable Mac-to-Phone Calls Expected to be available with the next 1-3 months, Net2Phone is scheduled to provide MAC support, allowing the users to place Mac-to-Phone domestic and international calls. The Mac version of Net2Phone will have Mac2Phone and Voicemail features. Mac2Fax feature will also be added in time. Apple itself is reportedly planning to develop VoIP related applications for end users. A Net2Phone developed beta version is available at:
http://www.uninet.co.uk/download/n2pmac.htm


Uniden to Market VoIP Telephones in 2001 Uniden America, the world's largest manufacturer of cordless telephones, will develop a new line of telephones that will directly route calls over a private Voice over Internet Protocol (VoIP) managed network owned by ZeroPlus. The phones are expected to be available in early 2001 and sold in standard analog and digital cordless models. The new phones will be capable of transmitting more affordable long distance calls directly over ZeroPlus's Voice over Internet Protocol (VoIP) managed network. Purchasers of the new phone will receive a trial of long distance services from ZeroPlus with the option to purchase long distance and enhanced services on a monthly basis. Particularly unique to the planned new product line will be its voice portal capability, including customized news updates, stock quotes, and other personal information, along with unified messaging of voicemail, fax, and access to e-mail messages by phone.
http://www.zeroplus.com


Net2Phone to Integrate Callwave's Internet Answering Machine Net2Phone a leading PC-to-Phone provider, and CallWave, the largest provider of Internet Call Waiting, announced a strategic alliance to develop and cross-distribute a new service which integrates inbound and outbound voice over IP targeted at both individuals and businesses. Under the agreement, CallWave will integrate a Net2Phone-branded version of its free Internet Answering Machine into Net2Phone's product line. The integration will enable users to return a call while online with a single click. In addition, Net2Phone will provide CallWave-branded versions of its outbound calling services, including free domestic and paid international PC-to-Phone for outbound calls, and paid calling cards. In just one year, CallWave's Internet Answering Machine has become the single most widely used Internet-based answering service. Callwave has 64 percent more monthly unique visitors than all of its competitors combined according to the Media Metrix.
http://www.net2phone.com
http://www.callwave.com


IDial Networks to Launch New Flat Rate Service has launched the lowest 24/7 unlimited calling plan in the nation. The new iDial Flat Rate plan is priced at $39.95 per month per phone line. The service is limited to customers who can call into a limited number of local access phone numbers . It is expected that coverage of the service will expand to more cities over the next month. IDial also has a business plan at $99.95 per month for 24/7 unlimited long distance calling.
http://www.idialdirect.com


Big 3 Telecom Carriers Dumping Consumer Long Distance Business As we forecasted 12 months ago, Sprint became the last of the Big Three long-distance companies to outline a plan to become a data services provider and essentially abandon its consumer long-distance business. All three have seen stock prices decline along with earnings from their consumer long distance divisions. The other two major carriers, WorldCom and AT&T have made similar announcements over the past 30 days. All three companies plan to spin-off their consumer long-distance operations to new companies. Increased competition and new technologies such as wireless phones, digital VoIP networks, and free PC-to-Phone services are said to be the source of the decline. Telecom networks are selling off excess bandwidth capacity at bargain rates. Long distance is now a commodity that is auctioned in many markets. Check out the latest "spot" prices for long distance at Arbinet's site:
http://www.arbinet.com/


October, 2000

Yahoo! Launches New Free Communication Services Yahoo has launched a new PC-to-Phone, Email-by-Phone and Web Search by Phone service for subscribers to their email service. Yahoo! by Phone provides free access to up to the minute information such as stock quotes, weather, news headlines and much more over the telephone by simply calling 1-800-MY-YAHOO (1-800/699-2466). Members can also access their Yahoo email and have it read to them over the 800 number. Also, a new version of Yahoo! Messenger allows members to place free PC-to-Phone calls to anyone within the United States. Yahoo's phone service is the same Net2phone service that MSN added to their messanger service last month.

AT&T and Net2Phone Investing in Cable to Provide Phone Service AT&T and Net2Phone see the future platform for the delivery of long distance phone service in cable access. Net2Phone (partly owned by AT&T) is one of the largest IP Telephony providers of long distance service in the world. Both AT&T and Net2Phone have announced recent investments and technology developments targeted in the cable access field. Net2Phone is developing a YAP product line that integrates your cable box with your telephone. The devise would enable you to make both local and long distance calls over your cable line. AT&T's board of directors has been rumored to be considering selling or spinning off it's consumer long distance business. At the same time, AT&T has invested over $100 billion to acquire two cable companies and increased its investment in Net2Phone. A dramatic shift is taking place today in the communications industry. The shift is away from current direct switch technology to the new and improved Digital Voice over Cable and Fiber-Optic Lines using virtual "soft-switch" technology. Watch for continued turbulence in the telecommunications industry over the next 12 months and lower prices to consumers.

London Telco Moving to World's First VoIP Platform London-headquartered global telco Cable & Wireless PLC has begun a three-year effort to migrate all its telephone traffic to a voice-over-IP (VoIP) network. The announcement is significant in that it is one of the first implementations of Internet protocol for public networks in the world. The main advantage of the VoIP platform is that calls and data can share a single network, cutting costs and making it easier to integrate functions such as e-mail and voice mail. The 3-year project will be implemented by Nortel Networks, which has entered into a $1.4 billion contract with Cable & Wireless to manage the company's circuit-switched assets in Europe and the United States, build a VoIP switching platform, and migrate existing customers over to the new platform.

5-Year Growth of Voice-Enabled Websites to Exceed 2 Billion More than 2 billion people will use Internet voice portals, voice-enabled Web sites, and Web-based interactive voice response systems by the year 2005. That is one of the conclusions of the new 244-page study, Voice of the Internet: Opportunities for Voice Portals and Voice ASPs, released by Datacomm Research Company. Voice-based services are expected to "humanize" the Internet, extending Internet access to every telephone and making online shopping easier and more natural. By 2005, more people will surf the Web from phones than PCs. Voice-based Internet services will also spawn new competition for local, long-distance, and international telephone services. To try out a free Web-by-Phone access service call toll-free
1-888-38AUDIOor1-800-4BEVOCAL.


September, 2000


FREE Web Based Calling to Any Phone in the World 4ecalls.com, based in Ireland, has launched a free Web-to-Phone service that will enable users to place calls from any PC in the world to any traditional phone in Australia, Canada, Ireland, the UK and the U.S. Users must open a free account and download Webphone software. The service is subsidized by advertisements. In recognition of Ireland's participation in the Summer Olympics, 4ecalls.com is providing 1 million minutes of FREE calls to ANY phone in the world. The promotion was timed to coincide with the start of the Millennium games in Sydney. The million minutes should be used up by the close of the games. To find out more: http://www.4ecalls.com

Beta Test a New Service and get 1,000 Free Long Distance Minutes Me.net provides an integrated communications system enabling you to place and receive calls anywhere in the world by routing your personal ME.net phone number to any available telephone, regardless of time, location, or communication devices with real time access to messages, including all of your voicemails, emails and faxes. ME.net also gives you freedom over how you communicate, with remote access capability to all services from any computer, telephone, wireless device or web enabled phone (WAP device) Listen to emails over the phone and send faxes as easily as regular email messages from your computer. For the beta-test period the service is free. However, only 10,000 free memberships are being issued. You get 1000 free long distance minutes to play with! Get yours now: http://www.me.net.

Quicknet Adds Faxing and Call Routing to Internet PhoneJack Quicknet Technologies has released a new beta version of their Internet SwitchBoard software Version 4.0. Internet Switchboard powers Quicknet's IP telephony hardware devises including the Internet PhoneJack and the Internet LineJack. New Features of the Internet SwitchBoard include new faxing and call routing functions. You can now plug in your fax machine and send faxes directly over the Internet to another fax machine, to an email address or to a list of addresses using a Fax Broadcast feature. Quicknet's IP telephony products integrate with both Net2Phone and Deltathree for PC-to-Phone calling world-wide. When a carrier becomes unavailable due to the Internet, an auto connect feature re-routes the call to the next available carrier for your PC-to-Phone calls. For more information: http://www.quicknet.net

Free ISP MillionEyes.com Popularity Rises With the success of its co-branded Internet service and e-mail, MillionEyes today was recognized as the fifth largest free Internet Service Provider (ISP) worldwide, and the fourth largest in North America by Top9.com. MillionEyes had more than one million unique visitors in July according to PC Data Online, a ten-fold increase in the company's Web traffic. Some MillionEyes co-branded sites include iwin.com, thestream.com and the Democratic National Committee's free web site FreeDem.com. For more rankings click: http://www.top9.com.

August, 2000

AT&T Invests $1.1 Billion in Net2Phone IDT Corp. announced that it has completed the sale of 14.9 million shares of its Net2Phone subsidiary to AT&T for approximately $1.1 billion. IDT Corp intends to use the proceeds from the sale of the Net2Phone shares to expand it's investments in worldwide network infrastructure. AT&T now holds a 39% voting interest in Net2Phone. Net2Phone is a provider of voice-enhanced Internet communications services providing PC-to-Phone and Phone-to-Phone services to any telephone or fax machine in the world. http://www.net2phone.com

DeltaThree Announces Software Upgrade Deltathree announced that it has released a new version of its PC-to-Phone software. The new software version 3.1, has a reduced file size of 1.4MB from 2.6 MB, now includes both French and Spanish language compliant versions. In addition, it has been enhanced to include additional premium services including Internet fax, email and voice mail capabilities. PC-to-Phone calls to the US and Canada are still free. http://www.deltathree.com

Access Power Launches FreeWebCall.com Access Power, Inc. has finally launched a 100% free PC-to-Phone long distance service called FreeWebCall.com, PC users anywhere in the world can use the Internet to connect to any regular telephone in the USA, Canada and UK. Similar to another PC-to-Phone service, FreeWebCall.com requires users to have MS NetMeeting on their computer. For improved call quality, FreeWebCall.com uses Cisco's state-of-the-art AccessPath-VS3 carrier class integrated voice gateways and calls are routed over the Sprint network. For more information: http://www.FreeWebCall.com

EVoice.com Ranked #1 Telecommunication Site on the Web in June 2000 Media Metrix, which tracks web site traffic, reported that eVoice.com was the number one telecommunications Web site in the month of June, 2000. eVoice.com's site gained a total of 1.3 million unique visitors in June, 2000, pushing it past all other telecommunication Web sites. eVoice.com also averaged 196,000 unique daily users, more than any other competing site. Total unique visitors for the month was 2,804,000, catapulting it to number one among telecommunications Web sites, including ATT.com, Net2phone.com and Sprint.com. In May, 2000, eVoice launched the first nationwide voicemail service that answers home telephones and enables voice communication free of charge. eVoice subscribers can pick up their messages free of charge from anywhere in the continental United States,eliminating expensive long distance charges. eVoice subscribers can also choose to listen to their voice messages by phone, as e-mail attachments or over the Web. For more info: http://www.evoice.com

July, 2000

PhoneFree.com Posts a 57% Increase in Visitors Last Month PhoneFree.com, a leader in free IP telephony services including free PC-to-Phone and free PC-to-PC calling, free voice mail, video mail, video calling and teleconferencing, announced that it had 1.1 million unique visitors to their site in June, 2000 a 57% increase over May's 713,000 unique visitors. Over the same time period, Dialpad experienced a 1% increase, Net2Phone a 12% decrease and FireTalk a decrease of 1% (from Mediametrix.com). The company credits the growth to an aggressive marketing campaign, the introduction of free domestic PC-to-Phone service, as well as the software upgrade and quality of service improvements. http://www.phonefree.com

Net2Phone and Rhythms to Launch VoIP over DSL Later This Year Net2Phone Inc., a leading provider of IP Telephony services, and Rhythms NetConnections Inc., an international provider of broadband communication services, announced plans to launch residential and business VoIP services utilizing high-speed digital subscriber line (DSL) technology. the deal will allow customers in the U.S. to enjoy a fully functional voice line over their existing DSL connection. Users will plug their normal telephones into a Net2Phone IP "box". The IP box then plugs directly into the DSL modem. Upon installation, end users can make and receive direct-dial phone calls to any regular or IP telephone in the world. Because the IP connection is high-speed, the quality of service is improved over traditional Internet voice transmissions. The companies are conducting technical trials of the integrated offering and plan to roll out IP voice services later this year.

MSN Adds PC-to-Phone Service to MSN Messenger MSN became the first major ISP to introduce free PC-to-phone telephone calls through its free chat service - MSN Messenger. It includes a new "Call" button which allows users to place PC-to-PC or PC-to-phone calls to any of their online buddies using Net2Phone's software and technology. PC-to-PC calls are free to anywhere in the world, and PC-to-phone calls are free for calls to any telephone in the United States and Canada. Net2Phone's software has been embedded into the MSN Messenger software, so there is no additional software to download. In order to place any Internet phone call, users need a sound card, microphone, and speakers. This is the first time that Net2Phone's PC-to-phone service is being offered for free. For more information: http://messenger.msn.com

DMI Expands Flat Rate International Service to Nine Countries Direct Marketers Inter., Inc. (DMI) McLean, VA, sells flat rate unlimited long distance in the US to business and residential customers. They have expanded their service to offer flat rate unlimited international long distance service ($249(US) per month) to customers in nine countries including China, Korea, Hong Kong, Australia, Philippines, Mexico, Ireland, United Kingdom and Italy. Customers in those countries can call virtually any phone on the planet for the flat monthly fee. The service is carrier-quality using digital voice over fiber-optic networks. For more information: http://dmiflatrate.com

IP Telephony Carrier Used by a Baby Bell for International Calls ITXC Corp., a New Jersey Internet Protocol (IP) Telephony company has begun carrying international phone traffic originated by one of the Baby Bells. The name of the Baby Bell was not disclosed. The deal highlights the improved voice quality of IP Telephony calls from recent technological advances. The main benefit of using IP telephony in terminating international calls is cost savings. The use of IP Telephony circumvents the high fees telephone companies in some countries charge to terminate calls, and it eliminates the need to build or lease high-capacity lines into each country. Overall, the market for sending calls over the Internet, and over other networks using similar technology is growing. Telecommunication industry analysts estimate revenues in the IP telephony market will grow from $642 million in 1999 to $34 billion in 2004.

Rutgers University Seminar on IP Telephony Teachers and administrators from across New Jersey and Puerto Rico are at Rutgers University this month for a 3-week seminar to learn how to use the Internet as a multimedia communications resource. The seminar uses Phonefree.com's voice and video applications and highlights the integration of Internet telephony technology into school curriculums using voice mail, video mail, video calling, teleconferencing and instant messaging. The goal of the seminar is to initiate "collaborative learning communities" in the Kindergarten through 8th grade environment. Teachers will be learning to share information with colleagues on a real-time basis and how to allow their students to interact with students from different cultures.
http://wwww.rutgers.edu
http://www.phonefree.com


Net2Phone Adds Speech Recognition Net2Phone reported it will implement speech recognition technology from SpeechWorks International Inc. into its growing IP network so it can offer advanced calling services. Net2Phone plans to offer a service that lets customers with wired or wireless phones dial a special number and use speech commands to place voice calls. Net2Phone also took a minority ownership interest in SpeechWorks. Speech recognition makes the world of web-based content accessible. For example, United Airlines uses speech-enhanced services to offer consumers throughout the United States access to flight arrival and departure information from any phone, simply by using their voice. Speech technologies are expected to have a significant impact on future IP-based network services, and the IP network infrastructure will, in turn, enable quick, seamless call transfers between and among speech-enabled services.

FCC Chairman Expects Great Things from IP Telephony Federal Communications Commission Chairman William E. Kennard is closely watching the growth of Internet Protocol (IP) Telephony and the effect on overall telecommunications commerce in the United States. At a recent meeting, Kennard outlined the issues facing the FCC, which include IP telephony, advanced services, spectrum management, and more industry mergers. Kennard said there are two issues he's been watching closely, IP telephony and wireless technologies. IP telephony's growth "will spread like wildfire" once the 53 percent of American residential consumers now online discover they can make long-distance phone calls at a fraction of the current cost, Kennard said. And regarding wireless technology, Kennard said the Internet now is migrating from the PC world into the wireless space, and the FCC must determine how to accommodate this shift. Kennard said his instincts are that IP telephony will be good for consumers, "I don't want to constrain IP telephony through regulation before it has a chance to get off the ground".

FTC Clamps Down on 'Free' PC Advertising The Federal Trade Commission is going after advertising for so-called free or low-cost computer systems subsidized by internet service fees. The FTC announced it has reached consent agreements with several online retailers on charges they engaged in deceptive advertising. The promotions targeted by the FTC included rebates conditioned on the purchase of three years of Internet service which failed to disclose the true costs and important restrictions in the offers. The retailers have agreed to disclose this information prominently in future advertising so consumers can determine the real out-of-pocket costs of such deals. One advertisement featured a computer for $269, but the purchaser's actual expenses exceeded $1,000. The FTC also found that customers who canceled their contracts before the term was up lost their rebates and, in most cases, had additional penalties. In addition, customers in some parts of the country had to pay long-distance telephone charges or expensive hourly surcharges to connect to the Internet because the ISP lacked local access numbers in their area.

June, 2000

WowRing.com Launches Free Web-to-Phone Service WowRing.com has announced the launch of its new "Web-to-phone" portal that will allow Internet users anywhere in the world to make free long-distance phone calls to and within the United States and Canada. The service, which is supported by advertising, is now available free to anyone who completes a simple registration form. WowRing's voice calls are completed over ITXC.net. The company plans future enhancements including Internet-based faxing, voice mail and low-cost Internet telephone calls to Europe and Asia. For more information:  http://www.WowRing.com

Free PC-to-Phone Companies Join to Fight "Internet Tax Ban" Legislation Dialpad, Net2Phone, Deltathree, PhoneFree and other companies will help promote attendance for the "Internet Freedom Rally", an open-air classic rock concert to be held Sunday, June 11 on the steps of the US Capitol. These companies offer free PC-to-Phone services that may be adversely affected by H.R.1291 "Internet Tax Ban". The bill was passed by the House of Representatives last month. A last minute amendment to the bill opens the door for the FCC to impose new taxes on free VoIP long distance providers. The bill will soon be debated in the Senate. David Greenblat, CEO of Net2Phone commented, "Where would we be if Alexander Graham Bell was taxed by the telegraph regulators...It would be a tragedy for us in the world at large if this new technology was to be taxed." For more information: http://www.pulver.com

Pagoo & FreeWebTel Introduce Free Phone-to-PC Calling Service Pagoo's new service provides you with a free local phone number with a choice of 80 area codes. Calls can be received online or transferred to another follow-me number when the user is offline (such as a home or cellphone). During a "preview release period", the service is completely free including a free local phone number (with a 3-digit extension), unlimited free Phone-to-PC and PC-to-Phone to any number in the continental United States. You can also transfer calls to a voicemail system that you access online. You must download Pagoo software program (3mb) to access the free service. For more information:  http://www.pagoo.com/
FreeWebTel.com has also announced a similar service. However, they are offering a toll-free 800 access service to a limited test group. To apply for their free service visit http://www.freewebtel.com.


Net2Phone Introduces Your Alternative Phone (YAP) Net2Phone Inc. announced a new line of devices that it hopes will push its Internet telephony services deeper into the mainstream. The hardware line, Your Alternative Phone (YAP), will be sold worldwide this month in many retail outlets, including The Wiz, CompUSA and Office Max. Prices for the line of devices start at $40. Unlike other Voip phone boxes, calls must be routed through the Net2Phone network with per minute access fees. Rates are 2.9 cents per minute for long-distance U.S. calling; international rates vary. Although most of the YAP devices require a computer, the YAP Jack device is used through an existing phone and wall jack. The YAP Multimax, for businesses, can turn one Internet connection into six voice lines, each capable of making and receiving calls while connected to the Internet.

CIBC World Markets Predicts Flat Rate Unlimited Long Distance Within 2 Years A report out from CIBC World Markets, an investment advisory firm, predicts long-distance will soon go the way of Internet access, with users paying a flat monthly fee for unlimited use instead of per minute charges. The report suggests consumers could see new pricing structures within 2 years. Reasons cited include competition from carriers, new and improved VoIP technology, bundling of local & long distance service and consumer preference . Future growth in the telecom industry will be in wireless and international services.

May, 2000

MyPoints.com Ranked #1 Free ISP by TheBullseye.com MyPoints.com has been ranked the internet's #1 free Internet Service Provider by TheBullseye.com, an investment research service. MyPoints got high marks from Bullseye because it was the only free ISP that fits each individuals needs. Members earn points online that can be used later to buy gift certificates, long distance minutes and name-brand products and services. ISPs were ranked based upon availablility, connectivity, software and email service. Other top rated ISP's were Freei, NetZero, AltaVista and Bluelight. For more information: http://www.thebullseye.com

Priceline.com to Market DeltaThree VoIP Long Distance Priceline.com will market domestic and international long distance phone time to be provided by DeltaThree. DeltaThree currently routes VoIP telephony traffic for more than 2.3 million subscribers in over 160 countries or 17% of the world's VoIP traffic. Customers will bid online for blocks of calling time. Priceline then searches its private database of participating provider rates to see if there's a price that will match the customer's offer. Other Priceline.com VoIP providers include Net2Phone and ZeroPlus.
For more information: http://www.priceline.com


Dialpad.com Links Service with Quicknet's PhoneJack Dialpad announced that they are now marketing a new "special edition" version of Quicknet's Internet PhoneJack(tm) that links directly to Dialpad's free unlimited PC-to-Phone service. Quicknet's PhoneJack is an extension of your computer's soundcard. By replacing the Internet PhoneJack with your regular soundcard, you can plug a regular telephone into your computer and use it to place calls over the internet (using Dialpad's network) to any phone in the 50 US States for free! Unlike other PC-to-Phone service providers, Dialpad is one of the clearest connections. For more information: http://www.dialpad.com

MyTalk.com Terminating Free Service Effective June 30, 2000 MyTalk.com announced they will be terminating their free email and voicemail services completely effective June 30, 2000. It made history as the first service to provide free unlimited 2-minute calls to any phone in the US. The company is owned by General Magic which provides a business voice mail and follow-me messaging service called Portico. Portico uses the same advanced voice recognition software that made myTalk so popular. The company cited "market conditions" for the reason they are terminating the free service.

PhoneCalls.com to Offer Free Long Distance Service by Summer PhoneCalls.com expects to offer a free Phone-to-Phone long distance service to over 30 cities in the United States by the summer of 2000. The new service will not require a computer to initiate the call. The service will be available to all Phonecalls.com members, who meet "minimum membership requirements". No more details about the service have been announced. The company anticipates that the free service will generate additional sales of their international phone service.

U.S. House of Representatives passes H.R. 1291 - "Internet Tax Ban" The U.S. House of Representatives passed a bill that was intended to ban any new FCC access charges on internet service providers, however, it opens the door for the FCC to regulate and impose access charges on IP voice services. A last minute amendment to the bill by House Republicans includes a subsection that could allow for access charges to be levied on VoIP services. The bill now moves to the Senate were VoIP industry and consumer groups are lining up to oppose it.
To view the amended Bill click (pdf format): H.R. 1291
For more information: http://www.pulver.com


Internet Service Provider sends Free Flowers for Mothers Day FreeAtLast.com offered free Mother's Day flowers on behalf of new subscribers to their free unlimited internet service that downloaded their free software between Thursday, May 11th and Friday, May 12th, 2000. The free service also includes free PC-to-Phone and fax calls. FreeAtLast.com is owned by IDT, Inc., a leading multinational carrier, telephone company and Internet service provider.

AT&T Cites IP Telephony for Revenue Loss AT&T reported lower than expected earnings for the first quarter 2000. Long distance services to consumers are expected to drop by 5% to 7% this year. The company acknowledged for the first time that Internet telephony and wireless phones are causing the drop in long-distance revenue. Prior to this announcement, AT&T contended that it wouldn't lose much revenue to free long-distance calls being made via the Internet. Of interest is the recent move by AT&T with a group of companies (including AOL and Yahoo) in March to buy a 39% voting stake in Net2Phone Inc., a leading Internet phone-service provider. Net2Phone is one of the only PC-to-Phone IP telephony services that is not free!

HSA to offer IP Telephone Service over Cable High Speed Access Corp.(HSA), a leading provider of broadband internet services announced that it intends to offer Internet protocol (IP) telephone service over selected cable TV networks across the United States. HSA currently provides broadband Internet access via cable modem in 137 communities nationwide. HSA plans to initially offer local and long-distance telephone service to residential and business customers. In December 1999, HSA and a cable partner began testing cable IP telephony systems in Georgia.

DMI to offer Flat Rate International Long Distance Direct Marketers International, Inc.(DMI), a leading distributor of flat rate long distance plans, announced that they will be offering a flat rate unlimited long distance service that will enable customers to call any phone in the world for a flat monthly fee of $179. The service will not be effective until June 9, 2000. Unlike existing calling plans offered by the company, the service will be sold on a per-user basis. The service will be portable allowing access from any phone. For more information:
http://www.dmiflatrate.com/

April, 2000
VocalTec to offer Web Based VoIP VocalTec to offer VoIP services from a new web site. VocalTec is planning to provide funding for a new venture Trulyglobal.com. The web site is expected to be operational by summer. The company is currently recruiting users to beta test the offering at the following web address for TrulyGlobal:
http://www.trulyglobal.com


Deltathree's Subscriber Base Exceeds 2 Million Deltathree reported that its worldwide customer base has exceeded 2 million subscribers. The provider offers VoIP connectivity between phones, PCs and web sites, as well as unified messaging, global roaming and calling card services. The network combined with affiliate provider's networks, enable Internet telephony traffic to be routed to over 160 countries.

PhoneFree.com to offer free PC-to-Phone Service PhoneFree.com announced it will be replacing it's $29 per month flat rate plan with free PC-to-Phone service. PhoneFree announced it will introduce a new network service in May that will allow high quality PC-to-telephone calls from any PC in the world to any phone in the U.S. PhoneFree will absorb all costs associated with these calls. Currently, the company only offers a $29 flat rate US/Western Europe plan. Calls can be placed from any PC in the world to telephones in the US (including Alaska and Hawaii), Puerto Rico and Canada, as well as UK, France, Germany, Italy, and more.


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